How to Scale Your Amazon FBA Business

Published

September 20, 2021

Although your Amazon FBA business is doing great and your products are flying off the shelves, you may want to take the next step: you want to scale your business. While this sounds intimidating and the results are uncertain, if the time is right and you follow the proper steps, scaling your Amazon FBA business can be a successful move.

How to Scale Your Amazon FBA Business

You did it! You successfully launched your Amazon FBA business, and your products are flying off the shelves. Now, you want to take the next step. You want to scale your business, but the idea of scaling a business can sometimes be intimidating. It requires you to make decisions you haven't had to consider until now. It means making changes to a business that's already working in order to help that business grow.

The good news is that, if the time is right, scaling your FBA business can feel rather intuitive. It may even involve some steps you've already been thinking about taking.

Here are some things to keep in mind when scaling your FBA business.

When To Scale Your FBA Business

Even if your sales have taken off, it can be tricky to know when and how to scale your FBA business. When everything is going right, it can feel uncomfortable to make changes.

A decent first step is to get the basics in order, for example, getting your business registered with Amazon and your products ranked in the marketplace.

Essentially, you want to build a bit of a reputation before you think about expanding. Build a solid customer base with some positive reviews and a proof of concept for your business model. Ideally, you'll have the disposable capital to invest in some new inventory or a marketing campaign.

In short, you'll know when it's time to scale your FBA business because it will feel like the time has come to grow, and you have the financial leeway to invest in your business while maintaining its current operations.

Scaling a Retail Arbitrage FBA

If you're working with a retail arbitrage FBA, then you know that it basically means you are buying discounted products from retail stores and selling for a profit online.

As a result, scaling a business like this is going to be all about sourcing the best deals. One way to scale this type of business is to hire someone to find those deals for you or employ tools that can automate this search and help you to spend less time sourcing inventory.

Depending on where you live, there may be a lot of competition or no competition at all. So branching out physically into other retail markets where less retail arbitrage FBAs are operating could be an excellent way to scale the business. Smaller markets with less competition will not only help you expand your customer base but, more importantly, will help you locate more inventory that others aren't taking advantage of.

Scaling a Wholesale FBA

Scaling a wholesale FBA is usually about capital. The more inventory you have on hand, the more you can sell. 

Although, quantity is not always better than quality. It's worth it to take the time to explore your options when it comes to suppliers and even try to establish some exclusive supply deals with those who provide the best quality products.

Much of this will require some investment. So if you're looking to scale a wholesale FBA business, it may be a good idea to look into crowdfunding options. After all, if you've reached a relative level of success, you may have access to a customer base, including mailing lists, of people who want to see you succeed and continue to provide the products they love.

Finally, several pack and prep companies will pack, label, inspect, and prepare your product for you and work with Amazon to minimize your workload.

Scaling a private Label FBA

Scaling a private label FBA might require the most careful approach of all. After all, you are selling a product with your name on it, a name that might have taken years to build.

Scaling this type of business is all about maintaining the brand and enhancing its recognition. It could involve affiliate programs, increased SEO optimization, paid advertising, or branching out beyond Amazon's marketplace to open your own e-commerce storefronts. In any case, scaling a private label FBA requires a well-rounded approach to maintaining your products’ quality and reputation.

Phone with Amazon and Amazon seller apps icons on screen

Four Steps To Scale Any FBA Business

One thing to consider when scaling your FBA business is employing a combination of business models. If your private label products are flying off the shelves, you might also try a wholesale model to supplement your initial business.

However you choose to expand, here are some steps you can take to scale any type or combination of FBA business.

Update and Optimize Your FBA's Product Listings

With any kind of Amazon FBA, keeping an up-to-date and clear product listing is key. Product listings are the way your customers interact with your business, and if you've succeeded to the point of considering some strategic growth, chances are you already know this.

Improving your Amazon SEO could have a major impact on your continued growth, and so it's important to consider this when scaling your FBA business.

Plenty of things could be adjusted and updated, including search optimized names for your products, original images which rank higher than stock photos, and SEO optimized descriptions that include keywords your customers might be looking for.

You might even try expanding beyond Amazon SEO and optimizing for Google searches to reach a larger pool of potential customers.

Offer A Wider Variety of Products

When trying to scale your Amazon FBA business, you are basically branching out from your current business. So it only makes sense to offer a wider variety of products.

This doesn't mean you need to branch out beyond your niche or the products that are a proven seller for you.

Seek out related products within your current niche. Offer variations of your current product listings or combination deals if you offer products that are often bought together.

A good place to figure out how to expand your product listings is Amazon itself, by exploring the related product listings or “Customers who bought this item also bought” tabs.

The convenient thing about operating online is you can also check out what your competitors are offering.

Expanding your offerings within the same basic categories is one of the easier ways to scale your business because much of the work is done for you. You've already established a reputation within the same category and your customers will likely be excited to see you offering related items they may already have been looking for elsewhere while browsing your own.

Explore Other Amazon Markets

Amazon is a global company with marketplaces all over the world. So once you've conquered one market, it makes perfect sense to branch out into others. After all, Amazon itself can help you get started worldwide, and with an FBA business, the infrastructure is already there through Amazon Global Selling.

While the US is Amazon's largest market, other markets can offer some excellent opportunities to complement your business. Canada, for example, is an easy market to expand to if you're already operating in the US, while choosing a market like Australia or Singapore can allow you to sell seasonal products year-round. You may even find that some products perform better in markets abroad.

Here is a list of Amazon Global Marketplaces you could expand to:

  • United States
  • Canada
  • Mexico
  • United Kingdom
  • Australia
  • Japan
  • India
  • France
  • Germany
  • Spain
  • Italy
  • Singapore
  • Brazil
  • Netherlands
  • Sweden
  • Turkey
  • United Arab Emirates
  • Saudi Arabia

Expand Beyond Amazon

If you’re truly trying to scale your business but haven't expanded your reach beyond Amazon yet, now would be the time to branch out. 

While Amazon is an excellent place to start an e-commerce business, offering step-by-step guidance and access to the largest online marketplace in the world, there are plenty of other ways to sell your products.

If Amazon has helped you build a brand name and a successful business that you're now looking to scale, chances are your customers will follow you to other platforms.

Perhaps you have the capital to start your own online store, or you want to take advantage of other e-commerce marketplaces like Rakuten or Etsy. 

If you're looking to launch your own website but haven't yet, there are several services like Shopify and WordPress that offer business-friendly web pages for e-commerce.

In addition to paid advertising, partnerships with related brands or affiliate programs can help you grow your social media presence. Offering your products to affiliates or influencers can help to expand your business beyond your current reach with minimal investment of time and money while also giving you access to audiences you previously had no access to.

Building your brand and customer base is what got you here, and growth should come naturally. Whether it's expanding to international markets or growing your social presence, there are plenty of options available for scaling an FBA business as you continue to grow your success.

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